Quality management in the manufacturing industry: Practice vs performance

This study examines the quality management practices in the manufacturing industry in Ireland on the performance of companies. The key findings point to the existence of a moderately positive linear relationship with a correlation coeffiecient of 0.694 between practice and performance. All the available multiple comparison tests conducted showed there is a significant difference in competitive ability between firms with 20–50 employees and theother employment group. From the perspective of competitive advantage, firms are better off being big rather than small. Also the local indigenous firms are at a competitive disadvantage unless jointly owned by foreign partners. Foreign owned firms have better quality management practices with a mean total score of 25% higher than local firms. Furthermore, it appears that being a subsidiary or part of a larger organisation and membership to a quality association contributes to better performance. Competitive sectors like Plastics and Rubber, Chemical and Electrical/Electronics have higher mean total scores than the rest and are above industry average. Firms that have larger export markets have better quality management practices. Finally companies accredited with ISO 9000 (66% of respondents) and or had implemented TQM (19% of respondents) exhibit a wide range of performance and statistically are significantly different than those without.